Cash is Still King in St Louis, the 2nd Most Popular City for New Businesses
People think of the St. Louis area for many reasons, but Forbes readers got a bit of a shock when the city was named number two on the list of Top 10 Rising Cities for Startups. The business environment in St. Louis has been primed for several years to attract companies and new residents as pointed out by the St. Louis Regional Chamber.
For most of these new businesses, cash is still king with consumers when making purchases under $30. One simple way to make the most of a hot market and increase cash spending is placing an ATM conspicuously in the store for consumers to use.
What is the right ATM placement option for you?
Using an ATM is simple and attractive for consumers, but as a business, how do you go about finding the right partner for ATM placement and management? There is not a one-size-fits-all approach and it can be confusing. To identify which scenario works for you, let’s explore the options.
Merchant Owned/Merchant Cash Loaded - The first scenario is simple and the most profitable -- a merchant owns the ATM terminal and handles the day-to-day servicing. If you are a hands-on business owner, this is the most profitable option for you. However, ownership comes with the added duties of employees filling the machine with cash and handling first line maintenance like changing out the receipt paper and clearing jams. Although this is a complex endeavor with growing compliance regulations, it is the most profitable for merchants.
Merchant Owned/ATM Company Cash Loaded & Serviced – If running your business has your hands full, consider a partnership that still leaves room for profit by owning the ATM but leaving the tedious tasks like cash loading and maintenance to the ATM professionals. The profit isn’t as high as option #1 but it the ATM is still generating revenue for the merchant and it frees up time for you to run your business.
ATM Company Owned & Operated – The most popular option for busy merchants, is an ATM owner and operated by the ATM company. The merchant sees a profit from the ATM but the terminal operations are completely hands of and completely stress free.
Increase Location Traffic with a Branded ATM
In addition, branding your ATM in partnership offers proven success. Industry experts report that ATMs with branding do an average of 20-40% more transactions than non-branded ATMs and generate higher traffic for the merchant location.
Since 1947 BFC Enterprises has prided itself on providing customers with outstanding customer service. Contact us today to discuss what ATM option is best for your business.